New Kansai International Airport is expecting double-digit DF&TR sales again this year, following a strong start to FY2014 and $186m in 2013.

 

‘Foreign’ arrivals continue to grow from across Asia, as overseas visitors look set to overtake Japanese passengers as the main spenders in Kansai’s departure shops this year.

 

“Last year was very good and now so is this year for all categories. These include perfume and cosmetics, liquor and tobacco, confectionery, fashion, souvenirs and electrical appliances, because Chinese passenger numbers have increased,” commented Kumiko Kushida (below), Manager of Duty Free Business Sales, Retail Management & Commercial Marketing Department, New Kansai International Airport Co Ltd (NKIAC).

 

CHINESE SALES ARE STRONG

“In July and August this year, sales to Chinese passengers almost doubled compared to last year. Chinese passengers are becoming our biggest customers, bigger than Japanese. We are not worried about this, as we do not expect that Japanese passenger numbers will grow in future as Japan’s population is declining.

 

“We expect inbound foreign passenger numbers will grow dramatically in future in the run up to the Tokyo 2020 Olympic Games.”

 

Combined duty free and tax free sales for all operators at Kansai Airport reached more than ¥20bn ($186m) in the financial year ending March 31, 2014 (FY 2013), representing an increase of 27% compared with the previous year.

 

Duty free shops, including luxury boutiques accounted for the majority of departure sales at Kansai Airport last year.